Indonesia Stock Exchange (IDX) CEO Iman Rachman spoke to media members on Friday, January 30, 2026 in Jakarta, Indonesia. Lachmann said he was resigning following a two-day market crash triggered by MSCI’s warning of a possible rating downgrade.
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Indonesia Stock Exchange CEO Iman Rachman resigned on Friday after the country’s stock market suffered losses of $84 billion in the past two days over concerns about a possible downgrade by index provider MSCI.
The Indonesia Stock Exchange said in a release that Mr. Lukman had resigned to take responsibility for “recent market conditions,” without elaborating.
“I hope this is the best decision for the capital markets. I hope that my resignation will lead to improvements in the capital markets,” Lachmann said at a press conference, according to Reuters. “We hope that the index, which started positive this morning, will continue to improve in the coming days,” he added.
MSCI on Tuesday warned of a possible downgrade of the country from emerging market to “frontier” market status, highlighting concerns over the transparency of transactions.
“Investors highlighted that fundamental investability issues persist due to continued uncertainty in shareholding structures and concerns about the potential for coordinated trading actions that undermine proper price formation,” MSCI said late Tuesday.
Jakarta Composite Shares fell by 7.35% on Wednesday and further fell by 1.06% on Thursday, before rising by 1.18% on Friday.
The day before his resignation, Lachman told CNBC that Indonesian regulators had held discussions with MSCI, focusing on data transparency, particularly strengthening free float and ownership structure.
Indonesia’s financial regulator said on Thursday it would double the free float ratio for listed companies to 15% in response to MSCI’s concerns about the transparency of the country’s stock exchange, Reuters reported.
IDX issued a statement on Wednesday saying it recognizes the feedback from MSCI as a “valuable part” of its efforts to improve the credibility of Indonesia’s capital markets. “We are fully committed to doing our best to increase the weighting of Indonesian stocks in the MSCI index,” IDX said.
“What has happened in the last two days is almost like a cold snap…The market panicked a bit. So what happens after a cold snap? Usually you correct yourself and refresh yourself,” Pandu Shahril, chief investment officer at sovereign wealth fund Danatara, said in an interview with CNBC’s JP On.
Pandu added that the Indonesian market has around $1 billion of liquidity per day, and the market needs eight to 10 times that amount.
“The only way to do that is through transparency. We have to listen to the market and not get defensive.”
